Transcript:
Hello, everybody, welcome to Thursday, the S&P 500 was down 1.1%. Today, we had a couple of different pieces of news that seemed to be part of the driving force, the market was up in the morning and actually fell right at the end. But the first time unemployment claims was 280,000, which is about 50,000, more than what was expected. So the job market got a little bit softer, the long term unemployment claims also grew. And so you know, that’s a in contrary to what the Federal Reserve is trying to do, which is to slow down the economy. And then you’re showing some data that shows that the economy has slowed down some most likely it has slowed down because of the Omicron variant, especially in the hiring area, and what have you to so we’ll see what happens, and especially the Federal Reserve is meeting next week. And what do they say about that? You know, we’ve had a softening of the stock market, getting a little bit of softening of the labor market, do they soften their tone, because one of the biggest reasons the markets coming down right now is because the Federal Reserve has been very aggressive in their tone, you know, they’re trying to talk inflation down. And, of course, that’s creating some havoc for the stock market as far as that goes. So, you know, that’s an issue.
But on the positive side, really fascinating. Oh, we’ve seen earnings reports coming in 81% of companies that reported earnings have beat their expectations by an average of 8.5%, which is really good. Earnings ultimately drive this market. You know, there’s other pieces right now that are in control. But there’s an awful lot of pessimism out there, they just finished an investor sentiment survey. And when it comes to the NASDAQ, which is the, you know, tech related index that has fallen the most, there’s pessimistic about that right now, as they were in March of 2020, when the market was really falling down due to the pandemic. And so this is kind of fascinating, it might not make sense. But when so many people get pessimistic, essentially, you know, they’ve sold or made their moves, it just leaves the smaller group, the buyers, the more optimistic that are coming in at a can reverse that. And you often see as one of the big signals for reversal, is when those surveys get very, very pessimistic, and so at least for the NASDAQ index that has happened, so I on my show here, coming up tomorrow 1215 to one o’clock talk money with Tom show, I’m going to be spending the first part of that show discussing my strategy for what to do in these types of markets. The market has entered a new phase, I’ll describe what that is. And you need different types of investing strategies for different types of phases. And I’ll describe in detail really, you know, what I’m doing and how that’s going to work, in my opinion, and what I will do if we change into a different phase as far as that goes, so, we’d love to be able to, you know, see you at the show, you can ask questions as we’re going as far as that goes to So, look forward to talking to tomorrow. Thank you very much.